Regulatory Alerts2021-04-05
Added · Updated
Circular dated April 5, 2021 regarding municipal bakeries benefiting from the small companies initiative at a return rate of 5% to finance the process of switching to natural gas
The Central Bank of Egypt allows municipal bakeries to access financing at a 5% declining simple interest rate under the Small Companies Initiative to switch from diesel to natural gas, without a minimum business size requirement. Eligibility requires the financing bank to obtain a repayment authorization letter from the Ministry of Supply and Internal Trade or the General Authority for Supply Commodities, the bakery owner to open a settlement account with the bank, and the owner to sign a commitment allowing direct deduction of installments from their subsidies. Banks must also receive all necessary documents for contracting as per their credit policy.
Topics
monetary
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